As an update to last week’s blog entry related to DISH Network’s lawsuit against News Corp. alleging that News Corp. had hired "hacker’s" (or "hit men" as they can be called in the industry) to systematically infiltrate its network, steal software code, and post information on the Internet to let users unscramble DISH’s satellite signals and recieve satellite television for free, is now over. A federal court jury cleared News Corp.’s NDS Unit of satellite television piracy, minus an award of $1,500 in damages from NDS for a single test incident with a television smart card.
Had DISH Network been successful in prosecuting the lawsuit, they could have been granted an award of damages (both specifc and punitive) somewhere around $1 billion. NDS attorney Richard Stone said, after the jury verdict, that News Corp. has been "completely vindicated" by the outcome, and added "[NDS] will not be changing [their] practices. [NDS] employ former pirates to make [their] system more secure, not to wreak havoc on the marketplace."
The admission, by Mr. Stone, that the NDS Unit of News Corp. will continue to employ hacker’s to make their system more "secure" shows that businesses today are more determined than ever to protect their most valued asset – corporate information. Privacy and cyber-security threats are important considerations every business needs to address. The more dependent on technology a corporation is, the greater the need for established corporate policies and procedures relating to the risk management of proprietary information. The fact that the jury did find for a single incident of piracy against NDS, shows that, even if done for "test" purposes, businesses will stop at nothing to gain a competitive advantage over their rivals. NDS had the capability of infiltrating DISH’s network, but, aside from one incident, chose not to engage in that practice. However, simply having that capability to infiltrate a rivals network should signal, to all corporate executives, the necessity of reevaluating their corporate risk management strategy.
If we were to take Mr. Stone’s comments, post-trial, and incorporate it to the verdict which the jury returned, the lesson learned from this case is this: Company’s will employ people who have the know how and ability to design a method of infiltration, capable of attacking a rivals network infrastructure, all in the name of making their own network more secure. Forewarned.
For more information click here: News Corp. Unit cleared of Piracy in DISH Suit – LA Times